Public Quartery Report January March 2013

Transcription

1 Public Quartery Report January March 2013 (previously AS LTB ) 1

2 BASIC PRINCIPLES OF THE REPORT PREPARATION This report has been prepared in accordance with Regulations on Preparation of Public Quarterly Reports for Credit Institutions approved by the Financial and Capital Market Commission (FCMC). All amounts are reported in thousands of lats (), which is the official currency of the Republic of Latvia and the s functional currency. OWNERSHIP AND MANAGEMENT Shareholders As at 31 March 2013, Igor Kim, citizen of the Russian Federation, was the sole shareholder of AS Expobank (hereinafter the ) with 100% of the s paid-in share capital. The s paid-in share capital amounts to thousand LVL and consists of voting ordinary registered shares with the nominal value of 10 LVL each. On the structure of the Council of the was as follows: Name, surname Position Date of appointment Igor Kim Chairman of the Council Kirill Nifontov Deputy Chairman of the Council Ilya Mitelman Member of the Council Jyrki Ilmari Koskelo Member of the Council On the structure of the Board of the was as follows: Name, surname Position Date of appointment Māris Avotiņš Chairman of the Board Gints Čakāns Deputy Chairman of the Board Sandris Straume Member of the Board Evija Sloka Member of the Board During the first 3 months of the year 2013 no changes have been made as to the structure of the Council and Board of the. GROUP CONSOLIDATION No Subsidiaries Registration number Address Business profile* Share Voting power Status** 1 SIA Axi Invest Grēcinieku iela 22, Riga, LV-1050 PUZ 100% 100% MS 2 SIA Kappa Capital Grēcinieku iela 22, Riga, LV-1050 PUZ 100% 100% MS * PUZ supporting enterprise, ** MS subsidiary MAIN ACTIVITY AND STRUCTURE Information about s main Activity and Structure can be found here. VISION, MISSION, STRATEGY AND OBJECTIVES Information about s Vision, Mission, Strategy and Objectives can be found here. 2

3 FINANCIAL RESULTS Balance sheet Audited* Assets Cash and demand deposits with central banks Due on demand from credit institutions Financial assets held-for-trading Financial assets at fair value through profit or loss Available-for-sale financial assets Loans and receivables Term deposits due from credit institutions Loans to customers Financial assets held-to-maturity Changes in fair value of portfolio proportion limited to interest risk Prepaid expense and accrued income Fixed assets Investment properties Intangible assets Investments in subsidiaries Tax assets Other assets Total assets Liabilities Due to central banks Due on demand to credit institutions Financial liabilities held-for-trading Financial liabilities at fair value through profit or loss Financial liabilities at amortised cost Term deposits due to credit institutions Deposits from customers Financial liabilities resulting from transfer of financial assets Changes in fair value of portfolio proportion limited to interest risk Deferred income and accrued expense Provisions Tax liabilities Other liabilities Total liabilities Shareholders equity and reserves Total liabilities, shareholders equity and reserves Assets and liabilities under trust management Off-balance sheet items Contingent liabilities Off-balance sheet commitments to customers * Revidents: KPMG Baltics SIA 3

4 The breakdown of s/ s owned financial instruments by countries: Country Book value, LVL 000 Russia Others 313 Income statement Interest revenue Interest expense (89) (89) (106) Income from dividends Commission and fee revenue Commission and fee expense (24) (24) (17) Net realized profit/loss from financial assets and liabilities held at amortized cost Net realized profit/loss from available-for-sale financial assets (25) (25) - Net profit/loss from financial assets and liabilities held-for-trading (121) (121) - Net profit/loss from financial assets and liabilities at fair value through profit or loss Changes in fair value due to risk minimization accounting Net profit from dealing and revaluation of foreign currencies Profit/loss from derecognition of property, plant and equipment, investment property and intangible assets Other revenue Other expense (168) (168) (71) Administrative expense (651) (651) (577) Depreciation (32) (32) (33) Allowance for impairment Impairment losses Profit before income tax Corporate income tax (25) (25) (54) Profit for the reporting period Performance indicators in accordance with FCMC regulations* Key ratios Return on equity (ROE), (%) 0,21 0,21 2,67 Return on assets (ROA), (%) 0,84 0,84 0,46 * Return on equity (ROE). The return on equity ratio is calculated as the ratio of profit/loss 1 of the reporting period (after tax) to the avarage 2 value of the s capital and reserves. Return on assets (ROA). The return on assets ratio is calculated as the ratio of profit/loss 1 of the reporting year (after tax) to the average 2 value of the s assets. 1 Profit/loss is calculated as follows: profit/loss (p/l) (after tax) as of the end of the reporting period is multiplied by the number of months of the year and related to the number of months from the beginning of the year to the end of the reporting period; for example, I quarter: p/l*12/3; II quarter: p/l*12/6; III quarter = p/z*12/9; IV quarter: = p/z *12/12. 2 Average value is calculated as the arithmetic mean of the balance sheet assets or residual capital and reserves of the re spective months (on the last business day of the month) as from the beginning of the year to the end of the reporting period. 4

5 RISK AND CAPITAL MANAGEMENT AS Expobank has provided the renewed information on about its risk and capital management policies, including management of credit risk, concentration risk, liquidity risk, foreign exchange risk and interest rate risk, as well as about compliance with capital requirements and internal capital assessment at the s Internet site: Since above mentioned renewal no significant change in risk and capital management policies. s/ s liquidity, open foreign currency position and capital adequacy are characterised by the following indicators: / Liquidity indicator (%) 145,53 113,60 Open Foreign Currency position (%) 4,23 6,50 Capital adequacy indicator in line with regulatory requirements (%) 76,26 45,67 Internal capital adequacy indicator (%) 57,00 33,00 AS Expobank has provided quantitative information about risk indicators, as well as capital adequacy indicator in line with regulatory requirements and internal capital adequacy indicator for other periods at the s Internet site: CAPITAL ADEQUACY CALCULATION No. 1 Capital base ( ) or ( ) Original own funds (Tier 1) Additional own funds (Tier 2) Decrease of Tier 1 and Tier 2 ( ) (307) (307) 1.4 Original own funds after decrease Additional own funds after decrease Tier Capital requirements ( ) Total capital requirements for credit, counterparty credit and dilution risks and free deliveries Total capital requirements for settlement risk Total capital requirements for position, foreign exchange and commodity risks Total capital requirements for operational risks Total other and transitional capital requirements - - Memorandum items 3.1 Surplus (+) / deficit (-) of own funds, before other and transitional capital requirements = 1 (2 2.5) 3.1.a Capital adequacy ratio (%), before other and transitional capital requirements = 1/(2 2.5)*8% 76,26 76, Surplus (+) / deficit (-) of own funds = a Capital adequacy ratio (%) = 1/2*8% 76,26 76,26 5